THE LOCAL DEVELOPMENT FINANCING ACT
Act 281 of 1986
AN ACT to encourage local development to prevent conditions of unemployment and promote economic growth; to provide for the establishment of local development finance authorities and to prescribe their powers and duties; to provide for the creation of a board to govern an authority and to prescribe its powers and duties; to provide for the creation and implementation of development plans; to authorize the acquisition and disposal of interests in real and personal property; to permit the issuance of bonds and other evidences of indebtedness by an authority; to prescribe powers and duties of certain public entities and state officers and agencies; to reimburse authorities for certain losses of tax increment revenues; and to authorize and permit the use of tax increment financing.
History: 1986, Act 281, Eff. Feb. 1, 1987
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Am. 1993, Act 333, Eff. Mar. 15, 1994
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Am. 2000, Act 248, Imd. Eff. June 29, 2000
© 2009 Legislative Council, State of Michigan
The People of the State of Michigan enact:
| Section 125.2151 | Section | Legislative findings; short title. |
| Section 125.2152 | Section | Definitions. |
| Section 125.2153 | Section | Authority; establishment by municipality; establishment by next Michigan development corporation; limitation; powers. |
| Section 125.2154 | Section | Resolution of intent; notice of public hearing; hearing; resolution exempting taxes from capture; resolution establishing authority and designating boundaries; filing and publication; alteration or amendment of boundaries; validity of proceedings; establishment of authority by 2 or more municipalities; procedures to be followed by next Michigan development corporation. |
| Section 125.2155 | Section | Board; appointment, qualification, and terms of members; vacancy; reimbursement for expenses; chairperson; oath of office; rules; procedure; meetings; removal of member; publicizing expense items; financial records open to public; subsections (1) and (5) inapplicable to certain authority. |
| Section 125.2156 | Section | Director, employment; compensation; term; oath of office; bond; chief executive officer; duties; acting director; appointment or employment, compensation, and duties of treasurer; appointment or employment, compensation, and duties of secretary; legal counsel; employment of other personnel; municipal retirement and insurance programs. |
| Section 125.2157 | Section | Powers of board generally. |
| Section 125.2158 | Section | Authority as instrumentality of political subdivision. |
| Section 125.2159 | Section | Taking, transfer, and use of private property. |
| Section 125.2160 | Section | Financing activities of authority. |
| Section 125.2161 | Section | Revenue bonds. |
| Section 125.2161a | Section | Insufficient tax increment revenues for repayment of advance or payment of obligation; appropriation; filing claim; information required in claim; distributions; determination of amounts; limitations; distribution subject to lien; indebtedness, liability, or obligation; certification of distribution amount; basis for calculation of distributions and claims reports; use of 12-month debt payment period. |
| Section 125.2161b | Section | Retention and payment of taxes levied under state education tax act; conditions; application by authority for approval; information to be included; approval, modification, or denial of application by department of treasury; appropriation and distribution of amount; calculation of aggregate amount; lien; reimbursement calculations; legislative intent. |
| Section 125.2162 | Section | Tax increment financing plan. |
| Section 125.2162a | Section | Designation as certified technology park; application to Michigan economic development corporation; agreement; determination of sale price or rental value for public facilities; inclusion of legal and equitable remedies and rights; marketing services; additional certified technology parks; priority to certain applications; duties of state. |
| Section 125.2162b | Section | Creation of authority in which certified technology park designated; agreement with another authority; designation of distinct geographic area; consideration of advantages and benefits. |
| Section 125.2162c | Section | Designation as certified alternative energy park; application; criteria; agreement; determination of sale price or rental value for public facilities; inclusion of legal and equitable remedies and rights; limitations; pledge to support authority's tax increment bonds; ownership and operation by economic development corporation. |
| Section 125.2162d | Section | Conveyance or lease of public facilities at less than fair market value or below market rates. |
| Section 125.2162e | Section | Notice of designation of next Michigan development area; marketing of authority district by Michigan economic development corporation; pledge to support tax increment bonds. |
| Section 125.2163 | Section | Tax increment revenues transmitted to authority; expenditure of tax increment revenues; retention or reversion of excess revenue; prohibition; abolition of tax increment financing plan; annual financial report. |
| Section 125.2164 | Section | Tax increment bonds; qualified refunding obligation. |
| Section 125.2165 | Section | Development plan generally. |
| Section 125.2166 | Section | Adoption of resolution approving development plan or tax increment financing plan; public hearing; notice; record. |
| Section 125.2167 | Section | Development plan or tax increment financing plan as constituting public purpose; approval or rejection; considerations; amendments; procedure, notice, findings, and amendment as conclusive; contest. |
| Section 125.2168 | Section | Relocation of person; notice to vacate. |
| Section 125.2169 | Section | Preparation and submission of budget; manner; approval; cost of handling and auditing funds. |
| Section 125.2170 | Section | Dissolution of authority; resolution; disposition of property and assets. |
| Section 125.2171 | Section | Proceedings to enforce act. |
| Section 125.2172 | Section | Effective date. |
| Section 125.2173 | Section | Conditional effective date. |
| Section 125.2174 | Section | Constitutionality of act. |
